First National Bank (FNB) has announced that members of its eBucks reward programme have spent R2 billion worth of eBucks since its inception in 2000, with spend doubling in the last three years alone.
The offering now extends to 2.7 million members who have earned R2.7 billion in eBucks rewards, the lion’s share of which has been allocated by FNB, the banking group said.
Speaking at an event in Sandton to mark the milestone, eBucks CEO Jolandé Duvenage, said that consumers have become far more “savvier” around rewards programmes, incorporating rewards into their everyday life. She said that eBucks rewarded those who showed smarter financial behaviour.
Duvenage noted that the eBucks milestone is particularly significant because of the retail industry’s slowing growth, low consumer confidence levels and challenging economic conditions.
The eBucks spend-to-earn ratio exceeds 80% in any given month, meaning that more than 80% of eBucks earned, are spent. This is a clear indicator of healthy member activity when compared to the industry’s benchmark in developed economies, where the average spend to earn ratio is estimated to be between 60% and 70%, FNB said.
The bank highlighted the addition of Engen as a partner in November 2009 which has had a significant impact on eBucks spend, with approximately R90 million worth of eBucks spent on fuel since then.
FNB’s CEO Michael Jordaan said: “What is exciting for us is that we have also seen our customers adopt a change in banking behaviour, with members keeping their FNB cards front of wallet to pay for their purchases, so that they earn eBucks.”
In light of the programme’s growth trajectory, Duvenage expects exponential growth for eBucks over the next five years as it continues to evolve with the local market and offer a programme that is increasingly relevant and rewarding to members and business partners.
“We are also working closely with FNB to strengthen the bank’s strategy of offering value-added products and services as part of its customer acquisition and retention drives, whether that is locally or further afield on the African continent,” she said.
Jordaan said: “We see it eBucks growing as it has been,” adding that the group would also target borders outside of South Africa. He said that FNB would aim to roll out eBucks in every country in which it operates, spanning eight countries in Africa, and in India.